South Florida Rental Property
ROI Calculator
Miami-Dade · Broward · Palm Beach
Cap Rate · Cash Flow · IRR · Break-Even
10-Year Projection · Liquidity Moat Score
South Florida Investment Property ROI Calculator — 2026
This free calculator helps real estate investors analyze rental property returns in Miami-Dade, Broward, and Palm Beach County — including cap rate, cash-on-cash return, IRR, break-even rent, and a 10-year wealth projection. Enter any South Florida property's purchase price, financing terms, and rental income to see a complete investment analysis updated live.
Miami Real Group built this tool specifically for South Florida — with county-specific property tax rates (Miami-Dade 1.7%, Broward 1.8%, Palm Beach 1.6%), realistic insurance ranges by property type, foreign national financing inputs including FIRPTA exposure calculation, and short-term rental STR analysis with regulatory warnings by municipality.
The calculator includes the MRG Liquidity Moat Score — a proprietary Miami Real Group framework that measures a South Florida property's ability to hold value during a market correction, evaluated across five factors: micro-market inventory position, price relative to neighborhood median, building financial health, flood zone designation, and demand durability.
Key metrics calculated: cap rate (NOI divided by purchase price), cash-on-cash return (annual net cash flow divided by total capital invested), simplified IRR (annualized total return over holding period), break-even rent (minimum monthly rent to cover all expenses), annual depreciation benefit (purchase price divided by 27.5 per IRS rules), and FIRPTA withholding exposure (15% of projected gross sale price for foreign nationals).
Property tax rates sourced from Miami-Dade County Property Appraiser, Broward County Property Appraiser, and Palm Beach County Property Appraiser public records. Data current as of Q2 2026. Updated quarterly by Miami Real Group.
Tax savings at 35%: $6,364/yr
Cash-on-Cash Return Across Price & Rent Combinations
| PRICE \ RENT | -30% | -20% | -10% | BASE | +10% | +20% | +30% |
|---|---|---|---|---|---|---|---|
| -30% | -20.4% | -17.1% | -13.8% | -10.5% | -7.2% | -3.9% | -0.5% |
| -20% | -21.9% | -19.0% | -16.1% | -13.2% | -10.3% | -7.4% | -4.5% |
| -10% | -23.0% | -20.4% | -17.9% | -15.3% | -12.7% | -10.1% | -7.6% |
| BASE | -23.9% | -21.6% | -19.3% | YOU -17.0% | -14.7% | -12.3% | -10.0% |
| +10% | -24.7% | -22.6% | -20.5% | -18.4% | -16.2% | -14.1% | -12.0% |
| +20% | -25.3% | -23.4% | -21.4% | -19.5% | -17.6% | -15.6% | -13.7% |
| +30% | -25.8% | -24.0% | -22.3% | -20.5% | -18.7% | -16.9% | -15.1% |
What rent makes this deal work?
Principal vs Interest Over Your Holding Period
The Liquidity Moat Score
Which South Florida assets hold value when the market corrects.
Let Miami Real Group analyze
your target property.
This calculator gives you the numbers.
MRG gives you the deal.
What is a good cap rate for Miami investment property in 2026?
In Miami-Dade and Broward County, a cap rate of 4-6% is considered acceptable for residential investment property in 2026. Premium locations like Brickell and Edgewater typically trade at 3-4% cap rates due to appreciation potential. Above 6% generally indicates strong cash flow potential or a distressed asset. Miami Real Group recommends evaluating cap rate alongside the MRG Liquidity Moat Score to assess both yield and capital preservation.
What is the property tax rate in Miami-Dade County in 2026?
The effective property tax rate in Miami-Dade County is approximately 1.7% of assessed value in 2026. Broward County is approximately 1.8% and Palm Beach County approximately 1.6%. These rates apply to investment properties without homestead exemption. Florida homestead exemption reduces assessed value by up to $50,000 for primary residences only.
How much down payment does a foreign national need to buy investment property in Miami?
Foreign nationals purchasing investment property in South Florida typically need a minimum of 25% down payment for single-family homes and 35% for condominiums. Non-QM foreign national lenders also require 6 to 12 months of PITI reserves (principal, interest, taxes, and insurance) seasoned in a US FDIC-insured bank account for 30 to 60 days before closing. Miami Real Group works with specialized foreign national lenders across all South Florida counties.
What is FIRPTA and how does it affect foreign real estate investors in Miami?
FIRPTA — the Foreign Investment in Real Property Tax Act — requires the buyer to withhold 15% of the gross sale price when a foreign national sells US real estate. This withholding is remitted to the IRS as a prepayment of potential capital gains tax. Foreign sellers can reduce this withholding to their actual tax liability by applying for a Withholding Certificate (IRS Form 8288-B) before closing. Miami Real Group coordinates FIRPTA specialists for every foreign national transaction.
Is short-term rental (Airbnb) allowed in Miami condos?
Short-term rental regulations vary significantly across South Florida municipalities. Miami Beach has strict STR regulations and enforcement. Many condominiums in Brickell, Edgewater, and Downtown Miami prohibit short-term rentals in their HOA governing documents regardless of local ordinances. Buyers must review HOA rules and local ordinances before purchasing for STR purposes. Miami Real Group identifies STR-eligible properties as part of our investment advisory service.
What is cash-on-cash return for real estate?
Cash-on-cash return measures the annual pre-tax cash flow from a rental property divided by the total cash invested (down payment plus closing costs plus reserves). For example, if you invested $150,000 total and the property generates $9,000 net annual cash flow, your cash-on-cash return is 6%. Miami Real Group considers 5% or above a strong cash-on-cash return for South Florida investment property in the current market.
What is the MRG Liquidity Moat Score?
The MRG Liquidity Moat Score is a proprietary framework developed by Miami Real Group to measure a South Florida property's ability to hold value during a market correction. It evaluates five factors: inventory position in the micro-market, price relative to neighborhood median, building financial health for condos, flood zone designation, and demand durability. Properties scoring 70 or above are considered strong moat assets — they are the last to lose value and the first to recover.
How do I calculate break-even rent for an investment property?
Break-even rent is calculated by dividing total monthly expenses by one minus the vacancy rate. Monthly expenses include mortgage payment, property taxes, insurance, HOA fees, maintenance reserve, and property management fees. For example, if total monthly expenses are $3,200 and your vacancy rate is 8%, break-even rent equals $3,200 divided by 0.92, which is approximately $3,478 per month. Any rent above this number generates positive cash flow.
What is a good investment property in Miami for 2026?
Miami Real Group identifies strong investment properties in South Florida based on cap rate, cash-on-cash return, and the MRG Liquidity Moat Score. In 2026, markets with constrained inventory, strong rental demand, and favorable flood zone designations include select Brickell condos, Coconut Grove single-family homes, Coral Gables, Pinecrest, and Cooper City in Broward. Waterfront properties in flood zone X represent the strongest combination of yield and capital preservation.
How is depreciation calculated for rental property tax benefits?
The IRS allows residential rental property to be depreciated over 27.5 years using straight-line depreciation. Divide the purchase price (excluding land value, typically 15-20% of total) by 27.5 to get your annual depreciation deduction. For a $500,000 property with $400,000 in depreciable value, annual depreciation is approximately $14,545. At a 35% effective tax rate this generates approximately $5,091 in annual tax savings — a significant benefit for high-income investors relocating to Florida.
What is a good cap rate for Miami investment property in 2026?
A good cap rate for Miami investment property in 2026 is 4-6% for residential assets in core markets such as Brickell and Edgewater, and 5-8% for value-add opportunities in Broward County. Miami Real Group's Investment ROI Calculator computes cap rate automatically using county-specific property tax rates of 1.7% in Miami-Dade and 1.8% in Broward.
How do I calculate break-even rent for a Miami investment property?
Break-even rent equals total monthly expenses divided by one minus the vacancy rate. At a 7.5% interest rate, 25% down payment, and Broward County property tax of 1.8%, a $500,000 investment property typically requires $3,200 to $3,800 monthly rent to break even — depending on HOA fees and insurance costs.
How much down payment does a foreign national need for investment property in Florida in 2026?
Foreign nationals purchasing investment property in Florida in 2026 need a minimum 25% down payment for single-family homes and 35% for condominiums per non-QM lender requirements. Lenders also require 6-12 months of PITI reserves seasoned in a US FDIC-insured bank account for 30-60 days before closing.
¿Cómo calcular el cap rate de una propiedad de inversión en Miami?
El cap rate se calcula dividiendo el Ingreso Operativo Neto (NOI) anual entre el precio de compra de la propiedad. En Miami-Dade en 2026, un cap rate de 4-6% es considerado aceptable para activos residenciales en mercados centrales. La calculadora ROI de Miami Real Group calcula automáticamente el cap rate usando las tasas de impuesto predial específicas por condado.